Guam could give Australia a better connection to the world

Pipe Networks and VSNL plan Australia-Guam fibre link By Stuart Corner

Pipe Networks (ASX: PWK) has signed a MoU with Indian international carrier and global network operator, VSNL International, to build a new submarine cable linking Australia to Guam, in a bid to break the near monopoly for direct links to the US held by Southern Cross.

Pipe Networks will be responsible for arranging the necessary funding and structure of the cable vehicle and says it will not proceed with the project until its strict investment philosophy is satisfied.

VSNL International will provide expertise in submarine cable systems as well as access to critical infrastructure and onward connectivity from the planned Guam landing station. VSNL International will benefit from having the new cable directly interconnected with its global network, enabling a significant improvement in service offering’s to Australia, according to Pipe Networks.

VSNL International, part of India's giant Tata group, purchased the former Tyco Global Network. It now owns the world’s largest designed global backbone capacity network, spanning four continents and comprising of major ownership in 206,356km of terrestrial network fibre optic networks and sub-sea cables. It is also one of the largest carriers of wholesale voice globally.